Apple continued to see sales in its flagship iPhone family balloon, while the tech giant’s services business hit a new all-time high, in the first earnings report under CEO John Ternus.
The company posted total quarterly revenue of $114.5 billion, up 12% year over year. Overall gross margin was 47.9 percent, including a favorable impact of approximately one percentage point from tariff refunds, after the Supreme Court invalidated Trump’s tariffs. Diluted earnings per share came in at $2.10, up 14% year over year, and included a favorable impact of $0.05 from tariff refunds.Sales of iPhone reached a September-quarter record and Services hit an all-time high, “capping off our best fiscal year ever,” Ternus said in a statement.
Apple CFO Kevan Parekh said on the earnings call that it expects total revenue for the December 2026 quarter to increase 7%-10% on a year-over-year basis — lower than analyst forecasts. He said services revenue is projected to rise 8%-9% in the year-end 2026 quarter, indicating slower growth for the segment.
